Veru Inc (NASDAQ:VERU), a late clinical stage biopharmaceutical company, announced on Tuesday that it has sold its FC2 Female Condom business to clients managed by investment management firm Riva Ridge Capital Management LP and other co-investors for USD18m.

This transaction allows Veru to focus on its core biopharmaceutical business, specifically the development of enobosarm for weight loss.

The sale of the FC2 business, including the transfer of its UK and Malaysian based subsidiaries, will result in a significant workforce reduction for Veru, from 210 to 22. The company expects to receive approximately USD12.5m in net proceeds from the sale.

Veru is currently awaiting initial results from its Phase 2b QUALITY clinical trial evaluating enobosarm for weight loss in patients receiving semaglutide. Topline clinical results are expected in January 2025.